InvestorQ : Should I subscribe to Spandana Sphoorty Financial Ltd IPO?
IPO
Isha Tharwani made post

Should I subscribe to Spandana Sphoorty Financial Ltd IPO?

Answer
user profile image
Sakshi Malhotra answered.
1 year ago


The first day of listing on 19th August 2019 of the Hyderabad-based Spandana Sphoorty, Spandana Sphoorty IPO was at discount price. The stock listed at 4% discounted price; opened at Rs. 825 against issue price Rs. 856 (NSE).

The IPO subscription was open between August 5 and 7 2019. The shares of micro finance lender, Spandana Sphoorty targets to raise Rs. 1,200 crore. The Out of which was subscribed 1.05 times. The reserved shares for qualified institutional buyers (QIBs) was subscribed nearly to 56% and the category of Retail individual investors was subscribed by 9%,

Even after weak listing of the Spanada Spoorty IPO, market experts estimate Spanada for long term investment growth. 
Financial experts recommend buying more stocks for the company to gain and act as a catalyst for growth in long term investment.


user profile image
1 year ago


Pls check;
Before recommending for the IPO I would like to discuss everything on the Spandana Sphoorty Financial Ltd IPO I know.
Spandana Sphoorty Financial Ltd NBFC-Microfinance Institution in rural areas. It is involved in contributing small-ticket unsecured loans to women belonging to low-income bracket in rural and urban areas. This will help to empower women as the company provides loan for income generation, business, against gold.

Spandana has a strong network across the nation. Currently spread in 15 states in India. The total network of employees is 4,045 employees with 694 in the branch.
The products of Spandana Abhilasha (JLG Loans), Shree Loans, Loans Against Property (LAP), Gold Loans (Keertana), Phinix Loans, and Interim Loans.

Objectives of the fresh issue are; Augmenting the capital base and

General corporate purposes.

The IPO opens 5th- 7th August, 2019. Face Value of the share is Rs. 10 per equity share. Issue price of the share is Rs. 853-856 per equity share. A total Market lot is 17 shares.

As per the current market condition, I find the market sentiment is quite weak towards investment. Thus I do not much expect a lot from the market for this IPO. However, the company has got a strong potential for revenue and companies like Kangchenjunga Limited and Padmaja Gangireddy has large share stake. Ti=his makes it quite recommendable and safe earning instrument.